Companies Act

Incorporation of LLP made fully online-Milestone in Ease of Doing Business

Incorporation of LLP made fully online-Milestone in Ease of Doing Business

Another Milestone in the direction of “Ease of Doing Business”: Incorporation of Limited Liability Partnership (LLP) through a complete online system made a reality 

Today, one can start business by incorporating a company through an on-line process without visiting any Government office. This was achieved in January, 2016 by establishing Central Registry Centre (CRC) for on-line incorporation of the company and reserving its unique name. Two on-line forms that were introduced for the purpose, are Simplified Proforma for Incorporating Company Electronically (SPICe) and Reserve Unique Name (RUN). Today, as part of online process for company incorporation, PAN and TAN are issued on near real time basis by integrating online process with the department of Income Tax. Through process re-engineering, DIN is also allotted to the individuals at the time of their appointment as Director in the Company. Every week, 2700 number of companies are incorporated through online company incorporation system. 
Ministry of Corporate Affairs has thus contributed significantly towards ‘Ease of Doing Business’ in the country as today, a company can be incorporated in less than two days along with allotment of PAN, TAN, DIN and Unique Name through the online process. Our endeavors is that very soon, this entire process doesn’t take more than one day.

Today, Ministry of Corporate Affairs has launched another process re-engineering by making incorporation of Limited Liability Partnership (LLP) through a complete online system. From today onwards through a web service titled “RUN-LLP (Reserve Unique Name – Limited Liability Partnership)”. Name can also be allotted to LLP through an e-form titled “FiLiP (Form for incorporation of Limited Liability Partnership). 

The Limited Liability Partnership Rules have been amended on 18th September 2018 which would come into effect from 02nd October 2018. The said amendment rules contain changes as detailed below:

(i) Introduction of a Web Service titled ‘RUN-LLP (Reserve Unique Name – Limited Liability Partnership)’ replacing the erstwhile Form 1 (Application for reservation or change of name).

(ii) Introduction of a new integrated Form christened FiLLiP (Form for incorporation of Limited Liability Partnership) replacing the erstwhile Form 2 (Incorporation document and subscriber’s statement) combining therein 3 services i.e.,

(a) Name reservation.

(b) Allotment of Designated Partner Identification Number (DPIN/DIN).

(c) Incorporation of the LLP.

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